Idaho has a state sales tax of 6 percent, plus local taxes that vary by county and city

Idaho's state sales tax is 6 percent. On top of that, most Idaho counties and cities add their own local sales tax, which ranges from 0 to 3 percent depending on where you live. Your total sales tax bill is the state rate plus whatever local rate applies in your location. A purchase that costs $100 in one Idaho city might have a different total tax in another city 20 miles away.

The state collects the tax at the point of sale — when you buy something at a store, restaurant, or online retailer. Local governments receive their portion of what you pay. If you live in or near a city, check your city or county assessor's website or call the local tax office to find your exact combined rate, because it matters for budgeting and understanding your receipt.

Key Takeaways

  • Idaho's state sales tax is 6 percent, and most counties and cities add 0 to 3 percent on top of that.
  • Your total sales tax rate depends on your exact location — city, county, and sometimes special districts all add their own rates.
  • Food for home consumption (groceries) is generally exempt from Idaho sales tax, but prepared food and restaurant meals are taxed.
  • You can find your local rate by contacting your city or county assessor's office or checking their website.

What is and is not taxed in Idaho

Most goods and services are subject to Idaho sales tax, but some categories are exempt. Groceries — food you buy to cook at home — are not taxed. However, prepared food, restaurant meals, and food you eat on premises are all taxed. This distinction matters: a loaf of bread from the grocery store is tax-free, but a sandwich from a deli counter is taxed.

Prescription medications are exempt from sales tax in Idaho. Over-the-counter medicines and vitamins are taxed. Clothing and shoes are taxed. Gasoline is taxed, though Idaho also has a separate fuel excise tax. Services like haircuts, repairs, and professional fees are generally taxed. If you are unsure whether a specific item is taxed, the retailer's receipt will show the tax applied, or you can contact the Idaho State Tax Commission.

Local sales tax rates by region

Idaho does not have a single local rate — it varies significantly by location. Ada County (which includes Boise) has a combined state and local rate of 8.5 percent. Bannock County (Pocatello area) is 7.5 percent. Canyon County (Nampa area) is 8.5 percent. Some rural counties have lower combined rates, while a few special districts add additional fractions of a percent.

The easiest way to find your exact rate is to contact your city or county assessor's office directly or visit their website. Many Idaho cities post their combined rate online. You can also look at a recent receipt from a local purchase — the tax shown will reflect your location's combined rate. If you are moving to Idaho or relocating within the state, knowing the local rate helps you understand the true cost of living in that area.

How sales tax is collected and who receives it

Retailers collect sales tax at the register and remit it to the state. The Idaho State Tax Commission receives the state portion (6 percent) and distributes the local portion to counties and cities based on where the sale occurred. This happens monthly or quarterly depending on the retailer's size and registration status.

When you buy something online from an out-of-state seller, Idaho sales tax may or may not be collected depending on the seller's nexus in Idaho and current tax law. Large online retailers like Amazon generally collect Idaho sales tax on orders shipped to Idaho addresses. Smaller sellers may not. If tax was not collected at purchase, Idaho residents are technically responsible for reporting and paying use tax on those purchases, though enforcement is limited.

Sales tax on specific purchases

Vehicles are taxed on the purchase price, and you pay sales tax when you register a new or used car with the Idaho Transportation Department. The tax is calculated on the selling price and is part of your registration fee. Trade-in value does not reduce the taxable amount in Idaho — you pay tax on the full purchase price.

Rental cars are subject to sales tax. Hotel rooms are taxed. Alcohol and tobacco products are taxed at the regular sales tax rate, plus they carry separate excise taxes. Lottery tickets are not subject to sales tax. Firearms and ammunition are taxed. If you are making a large purchase or buying something you are unsure about, ask the retailer whether sales tax applies before you complete the transaction.

Resale certificates and business purchases

If you are a business buying inventory or materials for resale, you can provide a resale certificate to avoid paying sales tax on that purchase. The tax is then collected from the end consumer instead. You must register with the Idaho State Tax Commission and obtain a resale permit to use a resale certificate. This is not available to individuals buying for personal use.

Businesses also pay sales tax on supplies and equipment they use in their operations unless a specific exemption applies. Agricultural equipment, manufacturing machinery, and certain business inputs may have exemptions depending on how they are used. If you operate a business in Idaho, the State Tax Commission website has detailed guidance on what is and is not taxable for your industry.

Frequently Asked Questions

Is Idaho sales tax the same everywhere in the state?

No. The state rate is 6 percent everywhere, but local rates vary by county and city from 0 to 3 percent. Your total rate depends on your exact location. Check your city or county assessor's office for your combined rate.

Do I pay sales tax on groceries in Idaho?

Food you buy to cook at home is exempt from sales tax. Prepared food, restaurant meals, deli items, and food you eat on premises are all taxed. The distinction is whether the food is ready to eat when you buy it.

What if I buy something online from out of state?

Large retailers collect Idaho sales tax on shipments to Idaho. Smaller sellers may not. If tax was not collected, you are responsible for reporting and paying use tax, though this is rarely enforced for individual purchases.

Do I pay sales tax when I buy a used car in Idaho?

Yes. You pay sales tax on the full purchase price when you register the vehicle with the Idaho Transportation Department. Trade-in value does not reduce the taxable amount.

Can I avoid sales tax with a resale certificate?

Only if you are a registered business buying inventory or materials for resale. You must obtain a resale permit from the Idaho State Tax Commission. Resale certificates are not available to individuals buying for personal use.